COREMBA

Liquidity$2 500
Free Strategy Tool

CAC Payback Calculator

SaaS Cash Flow & Growth Efficiency

CAC Payback (Months)300.0

Output Benchmarks

Bank Risk> 18 Mo
Cash flow trap
Healthy12 Mo
Standard SaaS
Cash Engine< 6 Mo
Hyper-growth ready

How to use this CAC Payback Calculator

01

Input Data

Enter your current SaaS Finance metrics into the labeled fields above.

02

Analyze Ratios

Instantly view efficiency ratios calculated against elite standards.

03

Optimize

Compare your results with the Benchmarks on the right to find leverage points.

Strategic Context

THE STRATEGIC VIEW

CAC Payback is the single most important metric for SaaS cash flow. It tells you how long you are "out of pocket" after acquiring a customer. Elite SaaS companies recover CAC in <12 months.

Operational Reality

THE CASH FLOW DEATH VALLEY

Profitable SaaS companies can still go bankrupt. Why? Because of the "Cash Trough."

If you spend $10,000 to acquire a customer who pays $1,000/month, you are cash negative for 10 months.

- Growth consumes cash.

- The faster you grow, the deeper your cash hole becomes.

CAC Payback measures the width of this hole. If it exceeds your runway, you die.

GROSS MARGIN ADJUSTED PAYBACK

Beginners divide CAC by Revenue. Pros divide CAC by Gross Margin Dollars.

- Customer pays: $1,000/mo.

- Server/Support costs: $300/mo.

- Real contribution: $700/mo.

If CAC is $10k, Payback isn't 10 months; it's 14.2 months. Ignoring Gross Margin is the most common reason for unexpected liquidity crises.

Tactical FAQ

TACTICAL Q&A

Q: What is a "VC Investable" Payback Period?
A: < 12 Months. If you can turn $1 of capital into a profitable revenue stream in under a year, VCs will pour money into your "Cash Machine." If Payback is > 18 months, you are seen as capital inefficient.
Q: Should I lower price to reduce Payback?
A: Usually, no. Lowering price hurts LTV. The better lever is Upfront Payments. Offering a 20% discount for an Annual Plan often solves cash flow problems instantly by reducing Payback to 0 months.
Q: How does churn exclude customers from Payback?
A: If your Payback is 12 months but your average customer churns in 9 months, you have a broken business model. You are paying to acquire customers who leave before they become profitable.
Q: Organic vs Paid CAC Payback?
A: Track them separately. "Blended Payback" hides the fact that your Paid Ads might have a 24-month payback (unprofitable) while your SEO has a 3-month payback. You might be scaling the wrong channel.
Recommended Course

Master The System

This calculator is just one tactical step. The full strategy is documented in the core protocol.

Source Lesson

Finance & Capital: SaaS Finance Protocol

Start Lesson →

Related concepts

#Strategic Math#Capital Allocation#Unit Economics